SEBI has barred Avadhut Sathe and Avadhut Sathe Trading Academy Pvt Ltd from dealing in securities and ordered the disgorgement of 546.16 crore of alleged ill-gotten gains tied to unregistered advisory and research activities marketed as stock-market education.

The interim order also requires the academy and Sathe to cease offering unregistered advisory or research services and to stop using live market data in their programs.

An interim ban on access to the securities market was issued, with a direction to freeze 546.16 crore in unlawful gains following an August search connected to unregistered advisory activity.

Investigations span from mid-2017 to late 2025 and allege that stock tips, live trading calls, and inflated return promises were marketed as education.

Sathe built prominence from a Dadar chawl background, founding ASTA in 2008, expanding to 17 training centers nationwide, and cultivating a large online presence, including a YouTube channel with about a million subscribers and a paid residential program.

The academy has collected roughly 601.37 crore from over 3.37 lakh investors since 2015, with 546.16 crore tied to eight courses offered between 2020 and 2025.

Evidence includes seized video recordings and chat logs showing Sathe using live price charts, displaying his positions, and participants confirming trades based on his recommendations.

The academy denies the allegations, calls its work educational, plans to challenge the order in court, and asserts it does not provide investment advice or stock recommendations.

SEBI alleges Sathe and ASTAPL offered stock-specific recommendations and advisory services without registration, effectively crossing from education into actionable guidance for a large investor base of over 3.37 lakh participants.

The enforcement action followed a planned operation with search and seizure at Sathe’s Karjat residence and academy, amid concerns that training programs lured investors into specific trades.

Industry criticism and reports point to rapid growth in the training business, with fee income rising from about 17 crore in 2021 to 86 crore in 2023 and projected around 200 crore in 2025.

The interim order functions as a show-cause notice giving 21 days to respond and outlining potential penalties including longer market bans, penalties for unregistered activities, and refunds to affected participants.